Canadian farmland rental rates remained relatively stable in 2024, despite another significant rise in land values, according to a report from Farm Credit Canada (FCC).

Nationally, the average rent-to-price ratio, which measures the return on rented land relative to its market value, dropped slightly to 2.50%, nearly unchanged from 2.52% in 2o23. This indicates that rental rates haven't kept pace with the 9.3% increase in farmland values recorded over the previous year.

The report, which focuses on cash rental agreements, shows regional differences in rental markets across Canada. In Saskatchewan and New Brunswick, rental rates have adjusted more quickly to land value increases. Other provinces saw little to no change in rental prices.